Did you know some investments are harder to turn into cash quickly than others? This is called liquidity. Think of it like this: selling a lemonade stand is easier than selling a big building! This news talks about investments that are hard to sell quickly.
- Some investments, like owning a part of a secret startup company (private equity), are hard to sell.
- Investing in brand-new businesses (venture capital) is also tricky to turn into cash quickly.
- It can take years to get your money back from these kinds of investments.
| Investment Type | Liquidity | Time to Get Money Back |
|---|---|---|
| Private Equity | Low | 5-7 years |
| Venture Capital | Low | Several years |
